Private Capital Participation In Venture Capital Countermeasures

The venture capital has made a rapid growth with the help of the government policies and associated laws, but looking at the present situation and history it is not difficult to draw a conclusion that the venture capital is still in a transitional period with our government playing an important role, and it demands a lot of money to join in and support venture capital. Therefore, how to make the idle capital of individuals enter into the area of venture capital becomes a highlighted topic. This article begins with the relationship among venture capital, government and private capital, and based on the experience of venture capital development in foreign countries it puts forward the suggestions to construct the system and environment of venture capital in our country.Firstly, the article gives the definition of venture capital and private capital, and by the periodical analysis of venture capital development it points out that private capital's joining in venture capital is necessary and possible.Secondly, based on the analysis and comparison of the venture capital development history and organization type, it gives more theory evidence to government's joining in venture capital.In the end, based on the analysis of the present situation of venture capital in our country, it puts forward the suggestions to construct the environment and system of venture capital.